Shares purchased through a rights offering usually carry lower margin requirements.

Name: Shares purchased through a rights offering usually carry lower margin requirements.
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Shares purchased through a rights offering usually carry lower margin requirements. This is because a rights offering is a less risky investment since it involves buying shares directly from the company rather than on the open market. As a result, brokers may require less margin for these shares.

Shares Purchased Through a Rights Offering Usually Carry Lower Margin